KUALA LUMPUR: The ringgit continued its slump in early trade today, breaching the 3.99 level per dollar for the first time since the Asian financial crisis 17 years ago.
At 9.30 am, the ringgit was quoted 0.8 per cent lower at 3.9920/9970 against the greenback from 3.9600/9630 at 5pm yesterday. Dealers said foreign banks continued to offload the local note, which is currently under pressure from lack of domestic leads and falling crude oil prices.
“Anticipation of the Federal Reserve interest rate increase, falling government bond prices and devaluation of China’s yuan yesterday also promted ringgit selling,” he added. The ringgit was traded lower against a basket of major currencies except the Singapore dollar.
It rose marginally against the Singapore dollar to 2.8216/8261 from 2.8302/8333 on Tuesday, and was traded lower against the yen at 3.1877/1922 from 3.1723/1752. The local note eased against the pound sterling to 6.2020/2125 from 6.1701/1759 and weakened against the euro to 4.4040/4103 from 4.3651/3700 previously. --BERNAMA